If you harbor an interest in cars, then it’s possible that you will not be able to miss one of the most promising car brands of the era. Kia vehicles are gaining popularity, with every second person opting to own one for a reason. But do you know the real story of Kia. How it came to be one of the most sought-after, most promising, and most loved car companies of the 21st century?
This article will extensively cover all the details of Kia, its history, challenges and obstacles, models, and much more!
About Kia
Kia, formerly known as Kyungsung Precision Industry and Kia Motors Corporation. It is a South Korean multinational automobile manufacturer. Also, its headquarters located in the heart of South Korea—Seoul. The name suggests Hanja origins, which stands for ‘Rising from Asia’.
After it’s parent company, Hyundai, Kia is South Korea’s largest automobile manufacturer. Its sales have touched over 2.8 million in just 2019. The interesting thing about Kia is that, not only is Hyundai the parent company. But it also owns the brand with a 33.88% stakeholding.
When was Kia founded?
Kia Corporation was founded in May 1944. It takes great pride in being listed as Korea’s oldest motor vehicle manufacturer. From its humble beginnings with bicycles and motorcycles. Kia has grown tremendously over the years. After several failed missions, Kia has emerged as the world’s fifth-largest vehicle manufacturer.
Today, this company is in the market demand. However, It produces more than 1 million vehicles per year. While boasting 14 manufacturing and assembly operation centers across eight countries. What’s interesting is that these vehicles are sold and also serviced with ample coverage—over 3000 distributors, to be exact—in 172 countries.
Kia Corporation boasts of over 40,000 employees worldwide, with annual revenues skyrocketing each year and being more than $17 billion.
Origins and History
As we mentioned, it was originally founded on 9th June 1944. However, it was known as ‘Kyungsung Precision Industry’ back then. It was a manufacturer of steel tubing and bicycles and slowly emerged as the official producer of Korea’s first domestic bicycle, known as the ‘Samchuly’ in 1951.
In 1952-1972 Challenges
In 1952, Kyungsung Precision Industry changed its name to Kia Industries. But they are choosing a name that was easier to pronounce and remember. Around this time, it built Honda-licensed small motorcycles, which started selling in 1957, and also Maza-licensed trucks around 1962 and cars in general, starting in 1974.
In 1973-1980 Challenges
In 1973, Kia opened up its first integrated automotive assembly plant, known as the Sohari Plant. Somewhere around 1981, Kia had started building the small Mazda-inspired Brisa range of cars up until the production came to an unfortunate end after the military dictator Chun Doo-hwan intervened, thus enforcing the consolidation of industries. This, of course, forced Kia to stop its production of passenger cars and thus start focusing on light trucks only. Since the situation asked for it, Kia started assembling a few hundred cars from 1982 to 1983. But no such passenger cars were built for the next couple of years until 1985.
In 1981-1985 Challenges
Before its production shutdown in 1981, it had the chance to round up the passenger car list and lineup with two other models assembled under the same license, namely the Fiat 132 and the Peugeot 604. The government approved the import of these knock-down kits, provided Kia could export five cars for each Fiat or Peugeot it imported. The rule was the same for Hyundai Motors.
After 1986 Challenges
In 1986, during the ban, it managed to manufacture only 26 cars. While the next year showed a massive jump of 95,000 cars. Kia was able to rejoin the automobile industry but was in partnership with Ford. The company was able to produce several Mazda-derived cars that were appropriate both for domestic sales in Korea and also for export into other countries. The export-oriented models include the Kia Pride—a Mazda 121-inspired vehicle—and the Avella. Which was sold in North America and Australasia as the Ford Festiva and Aspire.
Finally, in 1992, the automobile brand made its landing in the United States as Kia Motors America, and the first vehicle was sold from four dealerships in Portland, Oregon.
Since 1992, the Korean-based car company started expanding its reign one region at a time, and by 1994, dealers sold the Sephia, while the American segment started expanding their collection with the Sportage.
By 1995, there were over 100 dealerships that existed across thirty states with a new-high selling record of 24,740 automobiles.
Present Day
Hyundai Motor Company: Parent Company of Kia
After declaring bankruptcy in 1997 during the Asian financial crisis, Kia Motors went into agreement with Hyundai Motor Company to expand and diversify. This was done by the latter exchanging ownership of the former and vice versa. Hyundai Motors thus acquired 51% ownership—this came as a piece of interesting news since Ford Motors also showed interest in Kia in 1986, but Hyundai outbid the former.
Currently, Hyundai owns about one-third of Kia Motor Corporation by remaining its largest stakeholder, while the latter has retained ownership in 22 Hyundai Motor subsidiaries.
Current Scenario
With everything going on, Kia has been focusing on the European market and has identified its designs as the ‘core future growth engines’ which led to the company hiring Peter Schreyer as the chief design officer.
After February 2010, Kia recorded its 15th consecutive year of an increased U.S. market share, and by 2021, the company used an angular ‘KIA’ wordmark logo.
As of recent, the company has been expanding rapidly.
Owners of Kia Motors
As of 2025, the board of directors for the Korean car brand includes:
- Chung Eui-sun, who is the Chairman
- Song Ho-sung, who is the President and CEO
- Jung-Young Choi, who is the Executive Vice President and Chief Safety Officer
- Woo Jeong Joo, who is the executive vice president and CFO
- Chol-Su Han, Jennifer Hyungjong Shin, Shin-Jae Young and Wha-sun Jo, the Outside Directors
Challenges and Obstacles Faced in India
Some of the challenges faced by the Korean automobile company include:
- One of the first and foremost challenges included developing a brand image. Kia was a new entry with already established car brands like Hyundai, Maruti Suzuki, Honda, and more. During its launch, the company needed more recognition to establish its presence. This was one of the primary challenges faced by the company.
- The car company faced the disadvantage of being the last entrant in India and other parts of the world, as established automobile brands such as Hyundai, Honda, Toyota, Suzuki, and others were already established. This meant that a loyal customer base was already present before Kia’s arrival, thus transitioning the demand from a loyal base to a new entrant was an obstacle.
- Where India was concerned, the company had started out with just one model, while the other car brands had several models to choose from. This too posed as a very big challenge for the Indian segment.
- When it was first released in India in 2019—this was considered one of the worst times to launch a new brand as this year had already seen a steep dip in automobile sales in the past two decades but in 2019, it was the worst time ever. The 2020 pandemic too did not do justice for the company.
Models
Hatchbacks
| Models | Price | Description |
| Ceed (2006) | Rs 9 lakhs | C-segment hatchbacks meant for the European market |
| K3 (2023) | Rs 8-9 lakhs | B segment/subcompact hatchback. |
| K4(2023) | Rs 25 lakhs | C-segment hatchback; successor of Forte and Ceed |
| Picanto(2004) | Rs 7 lakhs | A-Segment city car |
| Ray (2011) | Rs 17.58 lakhs | City car with a single rear sliding door. Battery electric versions are available.e |
Sedans
| Models | Price | Description |
| K3 (2023) | Rs 8 lakhs starting | B-segment compact sedan and successor of the Rio sedan |
| K4 (2024) | Rs 25 lakhs | C-segment subcompact sedan and successor of K3 |
| K5 (2000) | Starting Rs 8 lakhs to 1.30 crores | D-segment sedan |
| K8 (2021) | Rs 21.70 lakhs | Executive sedan |
| K9 (2012) | Rs 37 lakhs starting | Flagship luxury sedan meant for the domestic market |
| Pegas (2017) | N/A | Entry-level B-Segment sedan |
SUVS
| Models | Price | Description |
| EV 3 (2024) | Rs 25 lakhs | Battery electric SUV |
| EV 4 (2023) | Rs 40 lakhs | Electric SUV based on Hyundai Kia N3 |
| EV 6 (2021) | Rs 66 lakhs | Battery electric SUV |
| Niro (2016) | Rs 15-20 lakhs | Alternative fuel compact crossover SUV |
| Seltos (2019) | Rs 11 lakhs | Subcompact crossover SUV |
| Sonet (2020) | Starting Rs 8 lakhs | Entry-level subcompact SUV |
| Sorento (2002) | Rs 25 lakhs | Two/three compact SUV |
| Soul (2008) | Rs 10 lakhs | Tall crossover or mini MPV SUV |
Pickup Trucks
| Model | Price | Description |
| Tasman (2025) | Rs 40 lakhs | Mid-size pickup truck |
Minivans
| Models | Price | Description |
| Carens (1999) | Starting Rs 10 lakhs | Crossover-styled three-row compact MPV |
| Carnival (1998) | Rs 64 lakhs | Three/four-row minivan with sliding doors |
Kia Challenge
In 2022, a trend known as the Kia Challenge went viral via social media and TikTok. The challenge involved people stealing certain models of the brand and Hyundai cars that were manufactured from 2010 to 2021. The company responded to this challenge by offering a software update free of charge to affect models that required the vehicles to have a key in the ignition to start.
However, in 2023, the National Highway Traffic Safety Administration reported that this challenge caused at least 14 crashes and 8 deaths, and both Kia and Hyundai had to pay $200 million in settlements to those affected.
Conclusion
Given that Kia has gone through a sea of transitions from its inception back in 1944 to 2025,. Following a strict set of core values that comprise the code of conduct for employees and the benefit of the organization at large, the company shall strive for the very best in the future. It has tackled challenges in the past head-on, and with thanks from supporters and stakeholders, it has shone right through, thus emerging as one of the leading automobile manufacturers in the world in the 21st century. Thus, in the future, the company is expected to offer products and services that are appropriate for its vision of turning cars into modes of transport into new lifestyle choices and spaces.
